Gilead Sciences Soars with 6.77% Surge Amid Seven-Day Rally Despite Earnings Hurdles
AInvestThursday, Nov 7, 2024 5:32 pm ET
1min read
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Gilead Sciences (GILD) witnessed a significant market surge recently, with shares increasing by 6.77% on November 7, continuing a remarkable seven-day winning streak which resulted in an overall gain of 11.15%. This impressive run pushed the stock to its highest intraday level since April 2016, a notable milestone for the company's performance on the stock market.

On November 6, Gilead Sciences released its third-quarter results for 2024, recording a revenue of $21.185 billion, which marks a 5.91% increase compared to the previous year. However, the company reported a net loss of $1.303 billion with a basic earnings per share of -$1.04. Founded in Delaware on June 22, 1987, Gilead is a research-based biopharmaceutical company committed to discovering, developing, and commercializing innovative medicines that address unmet medical needs. The company's primary focus areas encompass viral diseases, inflammatory and fibrotic diseases, and oncology.

In its latest quarterly statement, Gilead Sciences highlighted a revenue of $7.55 billion, reflecting a 7% year-over-year increase, exceeding market expectations of $7 billion. The adjusted earnings per share stood at $2.02, slightly below the previous year's $2.29 but ahead of the market prediction of $1.55. Notably, the decline in earnings per share is partly attributed to a $1.75 billion provision related to the 2020 acquisition of Immunomedics. However, due to strong drug sales, the company has revised its full-year guidance upward, increasing its revenue forecast from $271-275 billion to $278-281 billion and the adjusted earnings per share estimate from $3.6-3.9 to $4.25-4.45. Market expectations for these metrics were previously set at $277.2 billion and $3.81, respectively.

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